1 Canadian Dividend Stock Down 44% to Buy and Hold Forever

Down 44% from all-time highs, this Canadian dividend stock trades at a 64% discount in July 2026.

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Key Points
  • Colliers International has fallen by roughly 44% from its 52-week high, even as the underlying business continues to grow.
  • First quarter 2026 revenue rose 12%, and the company still expects mid-teens growth in revenue, EBITDA, and earnings for the full year.
  • This is a rare mix of steady dividend income and long-term compounding, which is why I see it as a buy-and-hold pick for Canadian portfolios.

Colliers International Group (TSX: CIGI) is not a household name like a big Canadian bank or a high-dividend telecom stock. But for investors who want a dividend payer that is growing steadily, it deserves a much closer look right now.

Shares of this Toronto-based real estate and engineering giant have dropped about 44% from 52-week highs, allowing you to buy the dip in July 2026.

some REITs give investors exposure to commercial real estate

Source: Getty Images

The bull case for the Canadian dividend stock

In Q1 2026, Colliers reported revenue of US$1.2 billion, an increase of 12% year over year, while adjusted EBITDA (earnings before interest, tax, depreciation, and amortization) rose 8% to US$125 million. Management held firm on its outlook for mid-teens growth in revenue, EBITDA, and earnings per share for 2026.

CEO Jay Hennick pointed to a simple reason for the guidance. More than 70% of Colliers’ earnings are tied to resilient businesses: engineering, project management, investment management, property management, and mortgage servicing.

These segments tend to hold up even when commercial real estate slows, giving Colliers a cushion that pure real estate brokers do not enjoy.

Colliers operates through three main platforms.

  • Commercial Real Estate handles leasing and property sales.
  • Engineering covers infrastructure, transportation, and environmental work.
  • Investment Management, through its Harrison Street brand, invests in sectors like data centres, senior housing, and student housing for institutional clients.

In the first quarter, capital markets revenue jumped 47%, driven by stronger deal activity in the United States and parts of Europe. Leasing revenue rose 9%, with U.S. industrial properties leading the way. Engineering net revenue grew 13%, helped by both acquisitions and organic demand, particularly in infrastructure work.

Investment Management assets under management grew 9% year over year to nearly US$1.9 billion, and the company raised nearly US$1 billion in new capital commitments in Q1. Colliers is targeting US$6 billion to US$9 billion in total fundraising through 2026, which indicates that momentum is building.

Colliers is also closing its acquisition of Ayesa Engineering, a deal expected to open new markets in infrastructure-heavy regions and further strengthen the engineering segment.

Is the Canadian dividend stock undervalued?

Colliers is a dividend stock that pays a semi-annual dividend of US$0.15 per share, or US$0.30 annually, which indicates a yield of 0.2%. While the dividend is not attractive, the TSX stock has delivered a compounded annual growth rate of 17% over the last three decades.

Since July 2006, CIGI stock has returned more than 1,100% to shareholders, easily outpacing broader market returns. Based on consensus price targets, the Canadian stock trades at a 64% discount as of July 2026.

I believe the sell-off in Colliers stock has created a buying opportunity for patient investors. The stock’s price has moved lower, but the business fundamentals remain strong.

Moreover, the first-quarter results confirm that the company is executing well despite an uneven macro backdrop in parts of Europe and Asia.

For Canadian investors building a long-term portfolio, CIGI stock offers a rare blend: a growing dividend, a management team with skin in the game, and exposure to secular trends like data centre demand and infrastructure spending.

At current prices, well below its highs, this looks like a stock worth buying and holding for years.

Fool contributor Aditya Raghunath has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Colliers International Group. The Motley Fool has a disclosure policy.

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